188 A. LIVERSIDGE. 



about twelve and sixpence a ton. A nodule of hard ferruginous 

 shale, practically haematite, was somewhat richer and yielded 

 3 dwts. 13 grains (worth about fifteen shillings) per ton. This 

 nodule was probably derived from a mass of iron pyrites, and 

 does not, of course, represent the bulk of the shale. 



Now that the cyanide process has been so much cheapened (by 

 Siemens and Halske's modification it is said that the cost of treat- 

 ment of tailings is reduced to three shillings a ton, and it is 

 expected that this may be reduced to two shillings and sixpence 

 a ton) large quantities of tailings and other gold bearing material 

 that are now useless will become of value, and it may be, that some 

 of the richer sandstone and shale may be found to pay for extrac- 

 tion; if these latter should do so, the result will be much more 

 satisfactory than a rich patchy reef, for, although the profit per 

 ton might be only a few shillings, the immense quantity available 

 would compensate for the low returns. 



The quartzite, (a metamorphosed sandstone) occurring at Goul- 

 burn was also examined and found to contain a trace of gold. 



I wish it to be clearly understood that my experiments, as far 

 as they go, do not show that it will pay to work the sandstone 

 and shale about Sydney for gold ; but that with the newer and 

 cheaper cyanide process, certain selected portions, if obtainable 

 in sufficient quantity, probably would do so. The cost of working 

 the sandstone or shale would necessarily be much greater than 

 for treating tailings, as the stone would have to be quarried, 

 crushed and otherwise handled prior to extraction, whereas the 

 tailings are ready for treatment with the cyanide. 



